Doing a bit of research this AM for a client looking to purchase a home perhaps in a rural location within 30 minutes of Portland Maine, here is a real estate snapshot of the current inventory of Maine homes for sale and the median sold prices for these neighborhoods.

As one goes a bit west and north of Portland Maine, property values tend to hold their own but you do get a lot more for your money, both in sq footage and land with your purchase.

Alas January did not post the numbers that anybody who wants  real estate markets to appreciate would like to see.  For the southern Maine real estate markets, specifically York and Cumberland county, transaction volume was down 12% and 41% respectively, with only about 100 residential home transactions occurring in Cumberland County, home to Portland Maine.  Pricing continues to trend downward, but not at an alarming rate.

In Maine coastal real estate markets including Sagadahoc and Lincoln country transaction volume was down at even more alarming rates, 30% and 50% respectively!  Given extremely small sample populations it is hard to discern true pricing patterns but it is safe to say prices are also trending downward.

The month of Janurary was cold, snowy and a tough one for Maine real estate.  Keep an eye out for the Maine Association of Realtors figures that should be released soon.

Thanks for reading,

John

The month of January did not treat the southern and greater Portland Maine real estate markets kindly.  In most communities transaction volumes were a fraction of what they were a year prior or even a month earlier.  For instance South Portland saw 7 home sell vs 13 from a year prior and Freeport saw one transaction relative to 8 in 2008. Falmouth was the only community that had an increase with 8 homes trading hands vs 5 the year prior.

This southern Maine real estate slowdown can partially be attributed to colder temps and more snow than average this past January although I feel it is more largely attributed to the general state of our economy and housing marktets. Optimism is not dead yet though and with the entire system being psychologically driven in many ways…KEEP THE FAITH.  For more housing statistics on Maine please visit www.mymaineproperty.com

Combining the lower mid coastal Maine towns of Phippsburg, Arrowsic, Georgetown and Harpswell for the month ending November 2008 7 transactions took place at an average transaction price of 375K. Generally about half of these transactions involve Maine waterfront property.  Compared to 2007 where 12 transactions occurred at an average price of 575K, one can see the markets remain slow and quiet.  The average days on Market for November  topped 200 this month compared with 109 from the  year prior.

Taking the sold home statistics for the 4 counties followed, since the beginning of the year the average sold price level appears to have leveled out and appears to be statistically stagnant. Minor drops have occurred and will continue, but in Cumberland and York counties which includes the Portland real estate market the current pricing is similar to a year prior and a 6% increase over last years statistics in York county occurred this previous month. The pricing volatility and month to month fluctuations for coastal Maine properties will continue going forward due in large part to the lower transaction levels. Overall the pricing levels seem to have found an equilibrium.

View the complete housing statistic report here.

Contrary to national trends the Southern and Coastal Maine real estate markets fared better than average in 2007. Albeit for seasonal fluctuations the average sold prices varied little from their 2006 numbers (see below.) Both York and Cumberland counties, (home to Portland Maine) hovered around 300K while Sagadahoc (Bath and Brunswick) and Lincoln were 226K and 281K respectively. Prices are dropping in the coastal Maine markets but averages are being propped up due to a higher number of luxury home/condo purchases. Inventory levels up ticked on average 8% relative to 2006 levels and days on Market were up 10% over 2006 levels. Transaction volume decreased on average 10% for the 4 counties followed. In 2008 look for the similar trends of reduced transaction volume, continued longer days on market and pricing to remain relatively stable or perhaps dropping a few percentage points off 2007 levels.
View the complete Maine housing statistics picture here.

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